Delhi student arrested over net sex video

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Indian police have arrested a 17-year-old school student whose
pictures of his girlfriend performing oral sex were sold on an
internet auction site, leading to the arrest of its manager.

The student, who has not been named but attends a well-known New
Delhi school, filmed the two-and-a-half-minute clip using his
mobile phone camera and the images were circulated to other
students.

"The 17-year-old boy is the son of a wealthy exporter and a
resident of Delhi's posh Defence Colony locality," the Press Trust
of India news agency said.

Video compact discs were made by an engineering student at an
elite university and put on sale on Baazee.com, a popular Indian
internet auction site owned by US giant eBay Inc.

The site's Indian born country manager Avnish Bajaj, a US
citizen, was arrested on Friday.

The incident has shocked sexually conservative India and the US
embassy has said it is closely following Bajaj's case.

"The US embassy is following this case very closely and there is
a high level of interest in Washington regarding this case," the US
embassy spokeswoman said.

Police said Bajaj was booked under the Indian Information
Technology Act which prohibits transmission and sale of obscene
data electronically.

On Saturday, a New Delhi city court ordered Bajaj to remain in
custody for a week, saying the alleged offence did not warrant the
granting of bail.

Baazee.com in a statement said it was "outraged that the police
have objected to the release of Avnish Bajaj."

"Baazee.com is an online marketplace -- a trading platform that
offers buyers and sellers an opportunity to transact. Unlike a
retailer, Baazee.com does not own or sell any of the goods that are
listed on the site," it added.

If convicted, Bajaj could be jailed for up to five years, fined
100,000 rupees ($US2220) or both, police said.

Amit Mitra, chief of India's top trade body, the Federation of
Indian Chambers of Commerce and Industry (FICCI), has warned that
Bajaj's arrest could send "the wrong signal" to foreign
investors.

"Industry feels such action could scare off and send wrong
signals to foreign investors. This (arrest) will have many
ramifications," said Mitra.

Public transmission and sale of pornography is a crime in India
but possession of pornography and viewing it in private is not.